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Under the flat-rate regime, expense reimbursements can be included in the invoice, but it is crucial to distinguish their nature:

1. Expense reimbursements incurred on behalf of the Client: If you have incurred expenses on behalf of your customer (e.g., travel tickets for business trips or payment of Client taxes), these do not count towards your taxable income. To manage them correctly, include them in the invoice as "advances/reimbursements" with a separate line item, specifying that these are reimbursable expenses. These amounts will not be subject to substitute tax or social security contributions (ex-Art. 15 DPR 633/72). 

Note that the invoice for the payment made on behalf of your customer must be issued in the customer’s name and not in yours! (For expenses that cannot be invoiced directly to the customer, a detailed expense report approved by the customer will be enough).

2. Directly incurred expenses: If the expenses are incurred by you and not on behalf of your customer (such as expenses for third-party consultations or the purchase of goods necessary for your activity), they must be considered part of your compensation. Therefore, they will be subject to taxation and will count towards your taxable income. In this case, you do not need to separate them from the compensation line item in the invoice.

Practical Example:

• If you attend a meeting on behalf of your customer and pay for the train ticket, you can include the amount in the invoice as a reimbursement without affecting your tax calculation.
• If you purchase software to carry out your work, the cost will be included in your income and taxed accordingly.

Important Note!

Even though they do not count towards taxable income, it is essential to retain supporting documentation for any tax audits (approved expense reports, invoices issued to the Client, receipts, tickets, etc.).